Allowances and Chores

Allowances and Chores  Learn the best way to set your child's allowance — and whether you should reward your child for helping out with household chores.

Money Journal

Appropriate age groups:
K-5 and up.

Description of technique for teaching kids the value of money:
Good financial records keep you in good financial health. Start teaching your kids the importance of keeping good financial records by creating a financial journal together.

Any blank journal will work but if you can find a general ledger type journal (with columns that specifically accommodate dollars and cents), that's a plus.

For individual pages use the following column heads:

Date -- Item -- Amount -- Spend -- Save -- Share

Sample entry:

3/1/00 -- Weekly Allowance -- $5.00 -- $2.00 -- $2.00 -- $1.00

Use one line for each transaction. The Spend, Save and Share columns should have corresponding piggy banks in order to separate monies easily and to promote understanding. The Spend column/bank is money for them to spend as they like. The Save column/bank is savings that can not be touched (used only for big ticket items or long-term plans such as college). The Share column/bank is money to give away to those less fortunate (through your church or local charities).

Sit down with your child at least once a month to review and initial each entry in their journal. Use this time to discuss the good and bad choices that were made with regard to their money.


Related Links
Kids and Money
Chores and Children
Put Away the Silverware
Allowance Tips: Good Money Management Begins with an Allowance
More Than a Chore: Getting Things Done the Right Way